Defaulting on Maintenace Fees - Another Approach

[e.bram]

You mean the company uses a non paid volunteer. Usually the court makes you settle and you pay a lesser amount anyway.
Or you can make a counterclaim to push it above the small claims(non lawyer for a corp )amount.

 

[Kal]

As a side note about collection agencies, my MIL passed away and within 2 weeks a collection agency called my wife about a bill. Turns out the amount due had not even been billed yet and the total due was $5.00 to the hospital.

If I was running a collection agency I would tell the vendor to get a life! My wife gave that same message to the hospital and thanked them for their interest in our situation. AH!!

 

[bjones9942]

You mean the company uses a non paid volunteer

That's not what I said in the least. Your points would have much more impact if you didn't play these little games.

 

[Tia]

WOW that is the lowest of the low............

As a side note about collection agencies, my MIL passed away and within 2 weeks a collection agency called my wife about a bill. Turns out the amount due had not even been billed yet and the total due was $5.00 to the hospital....

 

[Carol C]

I see several options that might help ...

1. Offer to move annual usage owners to eoy.
2. Restructure MF's from an annual to a monthly payment.
3. Institute a buyback program for a one time fee.
4. Reduce transfer fees.
5. Allow owners to 'skip a year' (no usage/no mf's), say, every 10 years.
6. Offer to change deeded ownership to rtu with termination dates.
7. Help owners when needed, but be firm and use a bad ass collection agency for those that won't take advantage of your help.
8. Develop the rental of unused weeks to the general public further by offering 'deals' and 'packages'. Advertise these both via print/radio/web and via press releases to local travel agents.
9. Get a local television station involved in a 'Luxury Getaway' giveaway contest.
10. Trade unused inventory (units) with local businesses in exchange for meals (for owner giveaways), supplies, etc.
11. Don't sell to people that can't afford to pay.
12. Run a credit check on potential resale purchasers and exercise ROFR if they can't afford to pay.
13. Treat current owners with respect. Don't mislead potential owners.
14. Buy dinner and drinks for owners that use their week for x consecutive years (as opposed to trading/banking them).
15. Give bonus weeks every x years to owners that pay on time (or early).
16. Go the extra mile for owners (flowers in the room, mints on pillows - the little touches that aren't done anymore. Royal Caribbean makes little animals out of towels and leaves them on the bed or couch - very cute and memorable). Make owners want to do anything to stay owners.

It might seem counter productive to have a strict collections policy AND try to make owners feel that they're special - it's a 'carrot and stick' kind of thing. You want owners that value the ownership enough that it would take a real and pressing hardship to give it up. You also want them to understand that if they give it up by walking away, there will be consequences.

This is an excellent list of ideas that can help stressed timeshare resorts and their owners too. Folks who own at mom&pops and especially folks involved with their HOA or POA boards would do well to print this list to share with board members and management. B Jones...ya done good with this list and hopefully some of your ideas will fly!

 

[DeniseM]

This is an excellent list of ideas that can help stressed timeshare resorts and their owners too. Folks who own at mom&pops and especially folks involved with their HOA or POA boards would do well to print this list to share with board members and management. B Jones...ya done good with this list and hopefully some of your ideas will fly!

There are some creative ideas - but many of them would raise the maintenance fees - which is counterproductive. Personally, I don't want to pay for window dressing. YMMV